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Strategies & Market Trends : Options -- Ignore unavailable to you. Want to Upgrade?

To: steve mamus who wrote (5439)	3/23/2000 7:28:00 AM
From: edamo	Read Replies (1) \| Respond to of 8096

steve...i'm open, fully understand and have used just about all possible types and combinations of options strategies. i find however, much to the chagrin of those who do not have the ability to, or are under misconceptions that put selling is "high risk". that many years of put selling has been minimum risk for me, less then going long, cash in instead of cash out, an income generator, and a secondary means of buying desired stock at a level below current market. the "sell side" enables better control of entry, rewards more then a call buy in a volatile stock in the form of premiums and affords a repair strategy. the contra argument is "loss of upside opportunity", but the contra position never addresses flat to down performance if you owned the long. premiums can be spent as coin of the realm...can't even buy a mediocre pizza with "opportunity sheckels" at this point in my life, if i can earn a seven figure income against capacity, without borrowing against margin, and get enhancement of core portfolio growth, then why not!. imagine your money in the bank, earning 3.5% per annum money market rates.........instead of constantly "making deposits" (cash in-call buying)and you discover a way to get an added 4-10% per month interest payment(cash out-put selling)............no different...8% per month, you double in about nine months....even if the "bank" tells you one day, that you made a mistake and they have to take money out of your account to sell you a promotional "toaster", valued at $20....but for you, only a $10 debit to your account......but they will gladly buy back any toast you make! do what you feel comfortable with, be it puts or calls, buy or sell, if it works for you, why question right or wrong of success!!!.......variety is the spice of life...some just have adjusted to a highly seasoned form of investment! good luck, as always...ed a.